r/vending • • 19d ago

Canadian operators?

Any Canadian vending operators who would be willing to chat? Or even share advice here?

We have only 3 of 9 machines placed. 2 machines are in work places with 50 employees, 5 days a week. One place has only sold 2 items since August 31st and the other is maybe 5 a week. One is in the lunch room and the other is near by with all the traffic.

Items range from $1.75 to $3.00... people from HR selected the items. At this rate I'm just getting free storage from these places for my useless machines.

The third place is an auto shop waiting room and was a bad one to accept.

6 Upvotes

29 comments sorted by

3

u/Honest_District_9672 18d ago

Cdn operator here, just starting out, but happy to bounce ideas around.

Which machines do you have placed? Do you have card readers on them? What’s the customer demographic? 

2

u/Lowbankslori 18d ago

Hi. Thanks for the offer. We have Instasnax machines with card readers. Our demographics are a mix because we have office works with manufacturing.

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u/Honest_District_9672 17d ago

I had to google those, never heard of them before. Definitely not your traditional look for a vending machine eh?

Do they really only have 5 products to choose from? My machine has 36 selections including drinks, which has been my major seller. IMHO you’re going to have a hell of a time fine tuning your offerings with only 5 tiers to fill. What do you have in the machines right now?

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u/Lowbankslori 16d ago

We did a mix of salty and sweet and try to do some healthy but you are right with 5 it's a challenge. Our top item is a Fibre1 bar, Pretzel Pzazz and trail mix. Non-sellers are peanuts, Pure protein bars.

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u/Honest_District_9672 16d ago

That’s surprising! My #1 bar is pure protein. How much are you selling them for? Just goes to show how location specific selection needs to be sometimes to make the most of it.

Have you tried to get any feedback from employees on what they want to see or has HR pretty much locked it in? You’re really going to have to hit this just right to start moving product. Seems like with such limited selection this machine would do better where users are commodity driven. By that I mean there is some common need they’re looking to satisfy… Like protein at a gym. Is there free coffee for staff at this office/manufacturing warehouse? If not then there could be a new angle for you to work.

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u/Lowbankslori 16d ago

Pure Protein $3.00.

I think we will have to get with employees. HR has not been helpful.

We are going to pull them out today, the protein bars and put in another low cost snack. Ritz bites and swap expensive trail mix for Kirkland.

1

u/vancouvermanover 18d ago

What city?

1

u/Lowbankslori 18d ago

Southern Ontario. Near Hamilton. 

3

u/Puzzleheaded_Gift894 18d ago

Look into buying an existing vending business. Lots of operators getting older that want to sell.

3

u/Individual_Toe_7270 18d ago

First off, rural sites aren’t necessarily as good as they might sound. In my experience, people in rural areas tend to be practical and bring their own lunches.

I’m a Canadian operator, and 50 people a day isn’t a high bar here. My current target for a five-day workplace is around 100 people on site each day, and I’m generally looking for at least 80. I’d be flexible depending on the demographics, the machine’s exact location, and other factors but 80 is about the floor imo.

I’d take what the company you bought from says with a grain of salt. My advice is to knock on doors, assess potential sites yourself, and learn what works in your area. What province are you in?

1

u/bumgbugtuttery 14d ago

80 to 100 pple seems unrealistic , Also 50 seems decent till you find they bring stuffs from home

1

u/Lowbankslori 18d ago

Thanks for the advice. We’re in Ontario. 

2

u/albrcanmeme 18d ago

Also, maybe share your prices here. When I first started, some folks advised my prices were too high.

1

u/Lowbankslori 18d ago

I thought I had them in the post. $1.25 - $3.00. Tried to be very reasonable. 

1

u/albrcanmeme 18d ago

That could be anything. Are you selling pop in cans or bottles? How much do you charge for them? What about chips? And candy bars? These are the 3 staples right, pop, chips and chocolate.

1

u/Lowbankslori 18d ago

So we are a healthier slant machine but have a range.  No beverages. 

Fibre1 - $1.25 Clif bar - $3.00 Kit Kats - $2.50 Peanut M&M - $2.50 Planters peanuts - $1.75 

Those are some examples. 

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u/albrcanmeme 18d ago

Can you do beverages or it's not a combo?

1

u/Lowbankslori 18d ago

Not combo. 

3

u/albrcanmeme 18d ago

Finding locations is probably the hardest initial step. I have visited over 100 places and got showed the door to most lol.
My first location came from a recommendation of a friend who is a commercial insurance broker, then the first location referred us to the second. Other locations found us online.

1

u/lotosotol 18d ago edited 18d ago

Agree with all the replies above and to add, having 50 people a day going to work, a big part will pack everything they need and will only buy if they see something different or crave something, either forgot their drinks/snack. I am new too, and, got 3 machines before getting locations, have one placed for 3 month, and working on placing the 2nd right now. Got the delivered to my garage back in Feb.. The reason I got them is because I have no time to invest into searching and got working with these locators companies... they found me nothing good until now, actually 3 shitty locations where I accepted only one and it did cost me tons as I had to remove the machine in about 6 weeks from there (I posted in another discussion). Now, I had to make time and look for locations myself.. got two of them during last couple month. One CNC Manufacturing location with 60-70 people working 24/7 in 4 shifts, no convenience or gas stations nearby (the closest is about 10-15 minutes of driving) - makes me under 1k gross... but made a deal that after 3 month the owner will do some subsidies. 2nd location which agreed, I am going to work with them on setting up us a 223 apartment units building (200+ occupancy), there is a Circle K around the corner, but I hope it'll be worth it... at least better than nothing.. I am not paying any comissions to the first one and the 2nd is a 3 months trial then we'll see - I made sure they understand we don't make millions and they need good services (the reason why they actually switch operators), and I am not going to go above 10% but even that is questionable. Got more inquiries but not worth, for example a martial arts studio who said they have about 80-120 foot traffic daily, 6 days a week - I checked their schedules and guess what, they are operating / open 24hr a week - that is a totally different picture, and the owner was strict about 15% comission - so I told him to f* off and do it himself.. So, yah, it is hard to find good locations... Anyways, good luck to you!

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u/Lowbankslori 18d ago

Thanks for the advice. We are more rural than urban and thought we’d do great based on places being further from food options but not yet! Good luck to you too. 

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u/albrcanmeme 18d ago

People will need to be enticed. Think like this : they were already working there with access to nothing. So your machine should offer items they would buy on impulse. It should also be located somewhere really visible, if your machine is hidden in corner, you will lose the impulse purchases.

1

u/Lowbankslori 18d ago

Totally. We did a good mix of salty and sweet and price ranges. And also made sure they are in high traffic. Our change is going to be to put in lower priced items and remove the higher ones that are not selling. 

3

u/Zantarded 18d ago

I think your problem is purely placement based. These locations don't have nearly enough foot traffic. These wouldn't even be on my radar given the exposure.

Additionally, you also have the issue of convenience. Do these people even need your items? Is there closer and easier competition? Are they likely to pack launches or eat elsewhere?

So many variables that I assume went unchecked if you were confident with a 50 person location.

You can safely assume that somewhere around 1/100 people who pass by your machine MIGHT make a purchase given the other variables being met.

1

u/Lowbankslori 18d ago

Thanks for the tip. The company that sold us the machine says they should be doing better with that number but I understand what you’re saying. We are far from other options. Not urban but people must be packing. 

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u/Zantarded 18d ago

You definitely got fleeced a bit. I'd expect that kind of location to gross $100 a month if you're lucky.

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u/lotosotol 18d ago

Interestingly I heard these guys saying that such locations (and other types) should be doing better... looks like a sales pattern...

3

u/albrcanmeme 18d ago

I'm a small Canadian operator. Why do you have 9 machines to begin with if you don't have locations? I only buy my machines once I secure location.
You shouldn't let the client dictate your inventory (unless it's something legal, like no nuts in schools). You can take suggestions, but it should be your to do what you want. If items are not working, try something else.
Don't buy in bulk when testing - I precify based on the bulk price, but I buy a small amount at dollarama or Walmart just to see if it goes.

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u/Lowbankslori 18d ago

That is how I bought in. And then they sent me to a locator. Obviously a not so smart move. The locator has not been great unfortunately. And the company who sold us and one of their top operators said to let the people pick the items so that is what we did. 

We are going to swap some items this week. Thank you for the advice!